Detailed Market Profiling Report: Ace Cargo Electric Van, Course Name

This report provides a comprehensive market profiling analysis of Ace Cargo's electric van, focusing on segmentation and targeting strategies for both B2C and B2B markets. The report identifies key customer segments, including farmers and courier services, and examines their specific needs and buying behaviors. It details the advantages of the Ace Cargo van, such as its environmental friendliness, low operating costs, and suitability for various applications. The analysis includes an evaluation of relevant buying behavior theories and how they influence consumer decisions. The report also highlights the van's features, such as its size, speed, and charging capabilities, and how they align with the strategic orientations of the target markets. Overall, the report provides a detailed assessment of the market potential for Ace Cargo, offering insights into how the company can effectively market and sell its electric van to different customer segments. The report also discusses the importance of market segmentation and how it helps organizations to focus their marketing efforts on specific needs and preferences.

Market Profiling 1
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Market Profiling 2
MARKET PROFILING
Segmentation and targeting
Market segmentation is the process in which marketers of a product split the buyers into a
distinct and measurable group sharing similar needs (Baker 2014). Ace cargo produces vehicles
that are efficient to the environment and saves the running cost of their users while it is also
traveling at relatively faster speeds. The Ace cargo is subject to interest for various users
including the personal use in carrying personal stuff as well as a different organization who may
use the van to transport their cargo. The van can be of use to different organizations including,
catering companies, aged care providers and pathology transport. The interested parties of the
van will get to transport their goods fast and with a minimum cost as Ace cargo enables them to
save up to 85% of the running cost as it is powered by electricity.
The market of Ace cargo is large with the consideration of the reduction of the
greenhouse emission and its low cost of operation. The advantage Ace cargo possesses over
other means of transportation enables them to have the edge over their rivals whose operation
cost are high. There are several segments that can purchase of Ace cargos, with its advantage the
product is marketable, and it can easily attract sales. With the knowledge of the potential
customers of the product, the company can easily know the best way their needs can be served
(Yang et al. 2015. Segmentation is also essential for Ace as it helps them increase marketing
efficiency by directing efforts towards the different segments according to their specific needs
hence enabling them to attract more sales of their commodities (French & Gordon 2015).
Segmentation enables an organization to know that different people have different needs
and not everyone will purchase a product (French 2017). Segmentation is vital to an organization
in determining which segment in the market will suit the product they offer (Andaleeb 2016).

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The target market for Ace cargo are the organizations that are profitable and will likely come
back and make more purchases of their commodities that the Ace company provides. With the
target market identified, the money and effort spent in marketing Ace cargo will be fruitful as it
targets a specific audience.
Segment evaluation
B2C target
The specific B2C niche customer segment that Ace company marketing team should
focus will be the farmers practicing fishing, dairy, and horticulture. Farming has good potential
for Ace cargo vans as it is essential in transporting the various products from the farms to the
markets and industries. With the vehicle, transportation can be done easily as the van which
satisfies the carbon emission target which lowers the operating costs.
Ace vans are distinct from other vehicles as it is well equipped with refrigerators that
will help the goods stay for longer period before they may expire. With the feature, the farmer’s
goods can stay fresh for a while, and this will help the products to reach the market on time. The
van is also different from others at it is less costly in its daily operation. Compared to another
vehicle, the van can help its users save 85% of the energy cost, the money saved can be used in
re-investing and it is of great help to their users.
The size of the van is relatively big, and it is essential in transporting the various farm
products to the market and the industries. The van transports goods weighing up to 500 kg, and it
is vital to farmers who transport their commodities regularlyThe van transports goods weighing
up to 500 kg, and it is vital to farmers who transport their commodities regularly. The size is
enough for small scale farmers, and they can transport raw materials as seeds and animal feeds to
their farms. They are being spacious the van suits well with the needs of the farmers.

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The van is stable, and it transports goods that have huge weights of around 500 kg as
mentioned above. The van is an electric commercial vehicle which means it have high speed per
hour. Additionally, the van have driven range on one charge 150-200 km at partial load.
However, the van have lower fleet greenhouse emissions which regarded to be over 70%
compared to other vans in the market. Another, advantage of the van is that, it have home
charging period which is calculated to be around 8 hours. Lastly the van has lower running costs
which is calculated to be up to 85 percent.The van is stable, and it transports goods that have
huge weights. The vehicle is designed and can work well even in the roads that are not
tarmacked. Being compatible with the roads that are not tarmacked, the van suits well with the
needs of the farmers who may not be served by goods roads. On the untarmacked roads, the
vehicle is perfectly stable, and it is required to move relatively slowly so that it may not lose
control.
The vans are accessible in the markets, and the potential consumers of the product can
easily access it in the market. The product can be easily used too as it contains a manual guide of
how one can charge it and how they operate other various factors including switching the
refrigerator on and off. The salesperson can also teach those who are purchasing the van at the
stores hence enabling them to get the experience while they are being taught.
The van matches well with the strategic orientation of farmers. Coolers are very vital to
dairy products, horticulture, and fisheries. The goods are often required at the market while they
are still fresh and with the coolers, the products can be kept fresh for a longer period before they
arrive at the market. The size of the van also suits the need of the farmers as they are essential in
transporting their products to the market taking a maximum weight of 1550kg. The electric

Market Profiling 5
charging of the vehicle helps in cutting the cost that could have been incurred while using
vehicle using fuel.
There are various theories about buying behavior. The first is the environmental theory of
buying; the theory affirms that a buyer exhibits various buying behavior in different situations.
One may not love buying a commodity, but in the presence of a friend nearby, an individual will
purchase the product. The other theory is the internal theory of buying behaviors where a
consumer will examine and compare the prices of other commodities before purchasing a
product.
The culture theory of buying affects the behavior of an individual as it will dictate what
products the consumers will purchase and what they will not purchase (Park & Ha 2014). Living
in a particular social class based on income, level of education and friends can affect the buying
behavior of a person. Generic theory of buying behavior affects the purchases of commodities as
an individual will consider several factors before deciding which commodities they will purchase
(Payne & Frow 2014). A consumer will make research before making a purchase when a product
they have is costly to repair, a consumer will investigate if the existing product in the market is
cheaper compared to the cost of fixing the broken one. When the cost of buying is cheaper than
the cost of repairing, the consumer will prefer buying a new commodity. How a consumer rates a
commodity after purchasing it will also affect their future purchases, when they are impressed,
they will purchase the product in future and when they are not satisfied they will not make future
purchase of the commodity.
B2B target
The exact business to business niche customer The specific B2B niche customer segment
which that Ace Ccompany marketing team is supposed mostly to focus on is should focus will be

Market Profiling 6
the the courier services which would benefit the company in the long run. Courier service has a
market potential as people transport their parcels and important messages from one destination to
the other. With the emerging trend of making online purchases, Ace cargo can be essential in
delivering the Courier to the people who have made their orders while they are at home or the
working stations. Ace cargo can be of great help to companies specializing in the courier and
delivery service at it will help them cut the fuel cost that is costly since the service requires
constant movement of goods from one region to the other.
Ace cargo is accessible for courier services as it is equipped with relevant space needed
for the goods to be placed before the delivery can be done. The van also has a maximum speed of
100 km/hr, and with speed, the service can be delivered and be accessed by the clients of the
packages and messages. The van can also be used with ease as it only requires a minimal time to
charge it; it only takes eight hours for the battery to be fully charged. Their assault is also long
lasting making the van accessible most of the time.
The size of the van is relatively big and can transport more goods once enabling the
organization to maximize the profits. Ace cargo is specifically designed for the transportation of
goods, and it is spacious and can transport more goods at once. Courier service requires vans
with relative space, and with Ace cargo, the companies specializing in the industry are well
sorted. Transporting more goods once can enable the organization in Courier service to earn
more profits, and besides saving the fuel cost, the company will transport more goods hence
maximizing the profits.
The vans produced by the Ace Company are stable and can travel up to a maximum
speed of 100 km/hr. The stability is due to its design to transport cargo, and the company has
experienced engineers who make certified products that are fit for cargo transportation. The

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stability in the van can help the organization dealing with courier service transport more goods
hence helping them maximize on profits. With a stable van the safety of both the goods and the
person being transported is guaranteed. Ace cargo is well equipped to fit the need of their clients,
and the van is stable ensuring the safety of the goods transported.
Ace cargo matches well with the strategic orientation of the company providing courier
services. The speed of the vans will ensure that the goods are delivered within the required time
making the clients happy hence enabling the organization to make more profits by attracting
more customers. The size of the van also has enough space to transport more packages in one
delivery hence enabling the organization to maximize profits by delivering more goods.
Ace cargo differentiates itself from other organization as it is charged by electricity
compared to others using fuel. The van helps their users save 85% of the running cost as it uses
electric energy which is relatively cheaper compared to the fuel energy which is more expensive.
The van from Ace Company also differentiates itself from others as it emits less fleet greenhouse
emission. The vans are more environmentally friendly, and it meets the global call of
maintaining the environment by using vehicles that emit fewer gases that are harmful to the
ecosystem.
The relevant buying behavior for the courier service is the general buying theory where
the organization dealing with the service will seek to know the relevant information of the van
before purchasing it (Gupta & Pirsch 2014). The knowledge will include the cost of the vehicle,
its advantages and the cost of repairs. When the cost incurred is expected to be cheap, the
organization will purchase the product. The other relevant theory is the internal theory of buying
behavior; the consumer will compare the price of the van with other available vans in the market
and analyze the one that will perfectly suit their needs. The consumer will consider the price of

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the product and the features available and will seek to rationalize. The consumer will then use
the information to purchase the product that will best suit their needs. Consumers may purchase
goods at a higher cost as long as it will be of help to them in the long run.
The environmental theory of buying behavior affects purchases based on different
situation (McDONALD & M.A.L.C.O.L.M. 2016). There is a global call of reducing the
emission of the greenhouse gases in the environment and consumers of products love goods that
have less harm to the environment. With the global call, the consumers try to purchase goods that
are environmentally friendly, the van from Ace Company emits fewer greenhouse gases
compared to the ones using fuel energy. With the advantage, consumers will buy the van due to
environmental friendly status.
Positioning and customer behavior
The consumer behavior is vital to an organization before the launch of a product. When a
company fails to analyze the behaviors of the consumers, they may suffer losses on their
launched products (East et al. 2016). Understanding consumer behaviors can be hard since
different people have different taste of different products and taste cannot be generalized.
Consumer behavior involves the behaviors displayed by consumers while they are consuming
and disposing of a product.
Consumer behavior is important to managers as with the information; the company will
design the product that will suit the needs of the consumers enabling them to make sales
(Kautonen, Gelderen & Fink 2015). The behavior is also essential where the services can be
placed so that the consumer can access it with ease. Consumer behavior is vital to marketers as it
helps them understand purchasing behaviors. The information is vital as it helps the forecast the
buying behavior of the consumers while they are making purchases of commodities (Serrat

Market Profiling 9
2017). The information is vital in creating and retaining the consumers as with the knowledge of
their taste and preference; their preferred products will be placed at the stores where they can
always access it easily (Wang et al. 2016).
Consumer behavior is important in understanding the consumer decision of disposing of a
product (Zeugner-Roth, Žabkar, Žabkar & Diamantopoulos 2015). When a consumer disposes a
product, it means that they are displeased with the product. Knowing the specific reason why a
consumer disposed a product will help the organization understand the situation to curb the
practice.

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References
Andaleeb, S.S., 2016. Market segmentation, targeting, and positioning. In Strategic marketing
management in Asia: case studies and lessons across industries (pp. 179-207).
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Baker, M.J., 2014. Marketing strategy and management. Macmillan International Higher
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East, R., Singh, J., Wright, M. and Vanhuele, M., 2016. Consumer behaviour: Applications in
marketing. Sage.
Gupta, S. and Pirsch, J., 2014. Consumer evaluation of target marketing to the bottom of the
pyramid. Journal of International Consumer Marketing, 26(1), pp.58-74.
French, J. and Gordon, R., 2015. Strategic social marketing. Sage.
French, J., 2017. The importance of segmentation in social marketing strategy. In Segmentation
in social marketing (pp. 25-40). Springer, Singapore.
Kautonen, T., van Gelderen, M. and Fink, M., 2015. Robustness of the theory of planned
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McDONALD, M.A.L.C.O.L.M., 2016. Strategic marketing planning: theory and practice. In The
marketing book (pp. 108-142). Routledge.

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Park, J. and Ha, S., 2014. Understanding consumer recycling behavior: Combining the theory of
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Payne, A. and Frow, P., 2014. Developing superior value propositions: a strategic marketing
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